Invest and grow togetherMember of the KBC group BOLERO CROWDFUNDING A quick introduction to crowdfunding CEO Bolero Crowdfunding Koen Schrever

Member of the KBC group What is crowdfunding?

Member of the KBC group Why crowdfunding? CF market testing marketing ambassadors financing cheap & quick ?

Member of the KBC group 4 4 types of crowdfunding… presale ‘pretailing’ donation reward loan equity non financial returnfinancial return philanthropydirect equityP-to-B P-to-P social mezzanine convertible equity linked subordinated revenue-sharing crowdfinance

Member of the KBC group Raised: € Min. € Donation

Member of the KBC group Raised: $10,266,845 Min. $100, Reward

Member of the KBC group Raised: € Min. € Equity Successfully funded Other investors: €

Member of the KBC group Bond Successfully funded Raised: € Min. € Intrest: 4% + beer Duration: 4 year 2 weeks

Member of the KBC group

New exemption added to the Prospectus Law (Article 18§1(j)) allows crowdfunding without a prospectus so long as the offer does not exceed EUR , and the maximum amount per investor does not exceed EUR 1000 No other specific legislation on crowdfunding or crowdfunding platforms in Belgium or within the EU FSMA issued 2 communications (FSMA dd 12/07/2012 and FSMA dd 26/06/2014) Tax shelter is announced: 30 to 45% tax deduction under certain conditions Belgian regulatory framework

Member of the KBC group … in progress Tax incentive: Equity: 30-45% discount Equity: 30-45% discount Loans: no with- holding tax Loans: no with- holding tax (30-45%) Max investment from €1.000 to €5.000 ?

Member of the KBC group iVox survey 7,4% of the population did some form of crowdfunding 50% doesn’t know what it is exactly

Member of the KBC group The success of crowdfunding: $16bn in $ 34 bn in 2015 Bron: Massolution

Member of the KBC group And in Belgium? €1,1 M in €4,35 M in Bron: Eurostat, Douw&Koren

Member of the KBC group What does Bolero Crowdfunding offer?

Member of the KBC group Access to a wide range of entrepreneurs Cooperation with Venture Capitalists and Business Angels Screened by FSMA and NBB Not in a fund Transparency Reliable platform What makes Bolero Crowdfunding unique? Access to crowd-investors (Bolero customers,…) Combined with Private Placements (wealth and private banking, corporate banking customers) Start-it and other partners to help entrepreneurs Early relation with a leading bank Future-proof structuring of the investment Very competitive cost

Member of the KBC group What type of companies are in our sweetspot? How can the deal be structured?

Member of the KBC group No specific sector focus Companies looking for financial crowdfunding (bonds or equity) 100k€ - 5,000k€ (combination of crowdfunding and private placements) Preferably with a first product ready / first paying customers Preferably with already a professional investor on board Company legal structure: cvba or NV CrowdFunding: it’s more than funding… Type of companies?

Member of the KBC group Legal structure NV CVBA Owner CROWD Investor B A B €6.200 NV CROWD Equity Bonds

Member of the KBC group 1.VC / BA can invest less and compensate it with crowd money 2.VC / BA potentially reduces investment cost for market testing, market feedback, promotion, sales, … 3.VC/BA/Entrepreneur get leverage on the crowd investment 4.T&C’s are determined by VC / BA /Entrepreneur: no discussions with the crowd (they buy it or they don’t) 5.Newco avoids 100’s of shareholders and can continue its future financing path Advantages of the set-up

Member of the KBC group Advantages and risks of crowdfunding

Member of the KBC group ADVANTAGES Access to a new way of financing Reasonable costs / effort The power of the crowd: awareness, market feedback, promotion Combination with Venture Capital, Business Angels,… For the entrepreneur ATTENTION POINTS Limited possibilities: €300,000 in total with €1000/investor, unless prospectus or accredited cvba Large number of shareholders if not properly structured Open communication: competition sees what you do A campaign requires time and effort

Member of the KBC group ADVANTAGES Access to young companies at an early stage: growth potential Higher potential returns if company performs well Possibility to spread over a large number of companies Being part of the companies of the future Close dialogue with entrepreneur possible For the investor ATTENTION POINTS High risk: non-achievement of goals, bankruptcy, fraud,… can lead to full-loss of investment Limited transparency: entrepreneurs provides information to the crowd Very limited or no liquidity Possibly a long time to exit

AGENDA Member of the KBC group Let’s get started…

Member of the KBC group How to start your campaign? Register (free) Full Business Plan Build your network Of ambassadors days CF campaign

Member of the KBC group How to increase the succes rate? Focus on your backers Consistent business plan Valuation Team Professional Video

Member of the KBC group Events

AGENDA Member of the KBC group SAVE THE DATE ! Zaterdag 22/10/2016, Leuven Entrepreneurial Summit SAVE THE DATE ! Zaterdag 22/10/2016, Leuven Entrepreneurial Summit SAVE THE DATE

Member of the KBC group

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